Net Income Per Share

6 Months Ended

Jun. 30, 2011

Earnings Per Share [Abstract]

Net Income Per Share

6. Net Income per Share

The Company utilizes the two-class method to compute net income per share.  The two-class method allocates a portion of net income to participating securities, which include unvested awards of share-based payments with non-forfeitable rights to receive dividends.  Net income allocated to unvested share-based payments is excluded from net income allocated to common shares.  Basic net income per share is computed by dividing net income allocated to common shares by the weighted average number of common shares outstanding during the period.  Diluted net income per share is computed by dividing net income allocated to common shares by the weighted average number of common shares outstanding during the period, plus the dilutive effect of outstanding stock options.

The following table summarizes the net income allocated to common shares and the basic and diluted shares used in the net income per share computations for the three month and six month periods ended June 30, 2011 and 2010:

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
Net income	$	6,741		$	5,118		$	15,527		$	7,417
Less income allocated to participating securities		(199	)		(51	)		(463	)		(214	)
Net income allocated to common shares	$	6,542		$	5,067		$	15,064		$	7,203
Weighted average common shares outstanding		25,726			25,381			25,608			25,231
Incremental shares from assumed conversions of common stock options		101			112			110			102
Adjusted weighted average common shares outstanding		25,827			25,493			25,718			25,333
Potentially dilutive securities not included in weighted average share calculation due to anti-dilutive effect		8			460			4			568